SEOUL, Dec 22 (Reuters) - Samsung Electronics Co Ltd said on Tuesday it had bought some appliance manufacturing facilities of Poland-based Amica for $76 million, a rare acquisition for the South Korean electronics maker.
With the deal, Samsung will secure a production base in Europe, which is set to lower its costs and help it expand its presence in the $50 billion European home appliance market.
Samsung is acquiring Amica's Poznan city factory and its assembly line for refrigerators and washing machines. Amica will continue to manufacture cooking appliances in Poznan, about 320 kilometres west of Warsaw.
Previously, most Samsung appliance products sold in Europe were made in China and other Southeast Asian countries.
Samsung, the world's top TV brand by revenue and No. 2 in mobile phones, this month identified the home appliance business as one of the areas it would beef up.
In appliances, Samsung competes with Whirlpool Corp of the United States, Electrolux of Sweden and home rival LG Electronics Inc.
LG said in September that it aimed to boost its European appliance sales by 10 percent annually in the coming years.
Japan's Panasonic Corp also plans to start white goods production in Europe and India.
(Reporting by Rhee So-eui; Editing by Jacqueline Wong)
((soeui.rhee@thomsonreuters.com; +82 2 3704 5650; Reuters Messaging: soeui.rhee.reuters.com@reuters.net)) Keywords: SAMSUNG POLAND (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
With the deal, Samsung will secure a production base in Europe, which is set to lower its costs and help it expand its presence in the $50 billion European home appliance market.
Samsung is acquiring Amica's Poznan city factory and its assembly line for refrigerators and washing machines. Amica will continue to manufacture cooking appliances in Poznan, about 320 kilometres west of Warsaw.
Previously, most Samsung appliance products sold in Europe were made in China and other Southeast Asian countries.
Samsung, the world's top TV brand by revenue and No. 2 in mobile phones, this month identified the home appliance business as one of the areas it would beef up.
In appliances, Samsung competes with Whirlpool Corp of the United States, Electrolux of Sweden and home rival LG Electronics Inc.
LG said in September that it aimed to boost its European appliance sales by 10 percent annually in the coming years.
Japan's Panasonic Corp also plans to start white goods production in Europe and India.
(Reporting by Rhee So-eui; Editing by Jacqueline Wong)
((soeui.rhee@thomsonreuters.com; +82 2 3704 5650; Reuters Messaging: soeui.rhee.reuters.com@reuters.net)) Keywords: SAMSUNG POLAND (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
© 2009 AFX News
